Pre-5G and 5G to help create $30b RF T&M market by 2023

22 Feb 2018
00:00

Pre-5G and 5G technologies together with high demand from the connected car industry and advancements in wireless communication standards are driving industry expansion in the radiofrequency (RF) test and measurement (T&M) market, according to Frost and Sullivan.

In a new report, the analyst firm predicts that Asia Pacific will be the largest and fastest growing region for RF T&M vendors, with estimated revenues of $1.99 billion by 2023.

“Asia has become the manufacturing hub of the world and holds special importance for vendors, but it is also making inroads in research and development (R&D), which will further increase its importance going forward,” Frost & Sullivan measurement and instrumentation industry director Jessy Cavazos explained.

Meanwhile, North America and Europe will benefit from wireless technologies. Growth in these regions will be bolstered by R&D activity around new wireless communications standards, the connected car and Industrial Internet of Things (IIoT).

The five major growth opportunities in the RF T&M market, that are expected to generate over $30 billion in new revenues by 2023, include:

1. Connected car and autonomous driving: Infotainment systems have evolved tremendously and are now at the core of the value proposition of automakers. Adoption of wireless communications standards like LTE and Wi-Fi is driving demand for more RF testing, and important R&D investments are being made in automotive radar and target simulation.

2. 5G: Extensive ongoing research on 5G technologies is increasing demand for RF T&M equipment and will continue to do so over the forecast period. Demand will go to higher frequencies in the long term to the detriment of the

3. Modular instrumentation: The penetration of modular electronic instrumentation is expected to continue to align with the multi-channel nature of upcoming end-user technologies; the CAGR from 2016 to 2023 for the modular RF T&M market is 14%.

4. Asia Pacific: Asia Pacific is expected to witness higher growth than other regions, which will drive an increase in its share to 43.2% in 2023.

5. IoT Devices: Market participants expect narrowband IoT and mobile IoT standards such as Bluetooth Low Energy (BLE), LTE-M and SigFox LoRa to create a new part of the market. This trend translates into an increase in parallel testing and generates a market for low-cost instrumentation.

Cavazos noted that “Market development is being impinged upon by RF instruments having a high price tag, especially high-end test equipment used in R&D applications. Companies across industry verticals are facing customer and competitor pressures to reduce prices, which is spreading throughout the value chain.”

Related content

Follow Telecom Asia Sport!
Comments
No Comments Yet! Be the first to share what you think!
This website uses cookies
This provides customers with a personalized experience and increases the efficiency of visiting the site, allowing us to provide the most efficient service. By using the website and accepting the terms of the policy, you consent to the use of cookies in accordance with the terms of this policy.